S Daily Stock Analysis: National Health Investors

real estate letter blocks

Source: Unsplash 

National Health Investors Inc has the ticker symbol NHI and is a member of the Healthcare sector as a facilities company. This is my first ever report on National Health Investors for my Vista Portfolio. 

National Health Investors Inc has found favor with investors lately, having survived the Covid 19 Pandemic with little or no tragic incidents.

National Health Investors Inc is a healthcare facility REIT. The company operates one segment that invests in various healthcare facilities, including independent living facilities, senior living campuses, and medical office buildings. 

National generates all of its revenue in the United States mainly from rental income, mortgage, and other fixed-rate investments rate in investments in real estate assets. 

The company considers merger and acquisition investment to be a component of its operational growth strategy. 

National offers a variety of financing, including sale/leaseback, mezzanine, joint-venture, and construction financing.

Incorporated in 1991, National Health Investors, Inc is headquartered in Murfreesboro, TN.

Three key data points gauge dividend equities or funds like National Health Investors Inc:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether a company has made, is making, and will make money. 

NHI Price

National's price per share closed at $77.73 yesterday. Last year its price was $39.05. Price per share has increased over 99% from the depths of the Covid market slump. 

If National Health Investors Inc stock trades in the range of $35 to $85 this year, its recent $77.73 price might rise by $2.27 to reach $80.00 by March 16, 2022. My estimate is in line with the historic multiple valuations estimated by YCharts.

NHI Dividends

National Healt Investors Inc most recent declared quarterly dividend was $1.1025 paid on January 29th. Dividends are estimated to total $4.41 per share annually and yield 5.67% at yesterday's $77.73 closing price. It has paid annually increasing dividends for eighteen years.

NHI Returns

Adding the $4.41 annual NHI anticipated dividend to my $2.27 price upside shows a $6.68 potential gross gain, per share, to be reduced by any costs to trade the shares.  

Put little over $1,000.00 today in National Health Investors Inc at $77.73 per share and we'd buy 13 shares of NHI stock.

A $10 broker fee (if charged) would be paid half at purchase and half at a sale and might cost us about $0.77 per share.

Subtract that maybe $0.77 brokerage cost from my estimated $6.68 gross gain per share results in a net gain of $5.91 X 13 shares = $76.83 for a 7.67% net gain on a $1,010.49 investment.

National Health Investors Inc shows a possible 7.67% net gain including a 5.67% dividend yield. 

Over the next year at this time a $1000 investment could generate $56.70 in cash dividends. And a single share bought at yesterday's closing price was nearly $78! So, if NHI is your kind of healthcare facilities investment, NHI price is well above any annual dividend income from $1,000 invested. This augurs waiting until NHI price falls below $70 before buying any shares.      

All of the estimates above are speculation based on the past history of National Health Investors Inc. Only time and money invested in this stock will determine its worth.

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...

How did you like this article? Let us know so we can better customize your reading experience.


Leave a comment to automatically be entered into our contest to win a free Echo Show.